UAE Corporate Tax: who must register, file and pay
Corporate Tax now applies to almost every business in the UAE. Here's what it means for your company, in plain language.
- Taxable income up to AED 375,000 is taxed at 0%, and income above that at 9%.
- Almost every UAE company must register and file a return, even with no profit.
- The return and any tax are due within 9 months of the end of your financial year.
What is UAE Corporate Tax?
UAE Corporate Tax is a federal tax on business profits. It applies to financial years starting on or after 1 June 2023, so for a company with a calendar year, 2024 was the first full year.
The tax is charged on your taxable income: your accounting profit, adjusted for items the law treats differently, such as certain non-deductible expenses and exempt income.
The rates
For most businesses there are two bands:
- 0% on taxable income up to AED 375,000
- 9% on taxable income above AED 375,000
So a company with AED 500,000 taxable income pays 9% of AED 125,000, which is AED 11,250. Qualifying free zone persons and very large multinational groups follow different rules.
Who has to register?
Registration applies to UAE companies and other legal entities, mainland and free zone, plus individuals doing business above set turnover levels. It applies whether or not you make a profit.
A newly set-up company generally has three months from incorporation to register. Registration is done through the FTA's EmaraTax portal, and you receive a Tax Registration Number (TRN).
Filing and payment deadlines
Your tax period is normally your financial year. The Corporate Tax return, and any tax due, must be submitted within nine months of the end of that period.
- Year ending 31 December 2025: due by 30 September 2026
- Year ending 31 March 2026: due by 31 December 2026
What happens if you're late?
Late registration carries an administrative penalty of AED 10,000. Late filing of a return is penalised at AED 500 for each month (or part of a month) in the first 12 months, rising to AED 1,000 a month after that. Late payment attracts its own monthly penalty.
The FTA has run waiver initiatives for some of these penalties, for example where the first return is filed within a set time. Rules change, so check your position before assuming a penalty applies or can be waived.
How Pelago helps
We register your company, keep your books ready for the return, check every relief you qualify for and file before the deadline. Every Pelago bookkeeping plan includes Corporate Tax registration and filing at no extra cost.
Our corporate tax services cover everything in this guide, from registration to filing.
This guide is general information about UAE tax rules as of 29 October 2026, not tax advice for your business. Rules and FTA practice change; speak to an adviser before acting.